This 10-section report on the activities of the Open University of the United Kingdom as an innovative institution with a concern for democratization of higher education begins with a discussion of the criteria for an innovative organization. The origins of the University and the intentions of its early planners are then discussed, followed by a description of development of objectives in the advisory and planning committee stages. Both the major academic programs (undergraduate, continuing education/associate student, and higher degree), as they have evolved since 1969, and related programs such as institutional evaluation and research, academic research, international activities and marketing are covered in section 4. Additional sections (1) describe the University's multimedia, distance teaching approach, including assessment and certification; (2) present information on the student population; (3) provide a resume of published information on the University's cost efficiency in comparison with others in Great Britain; and (4) present an overall evaluation of the institution's success, and the extent to which the system can be generalized elsewhere. A comprehensive bibliographic essay, reviewing the literature on the Open University concludes the report. A 5-page reference list, 10 figures, and 24 tables are included. (LMM)